Sinclair Broadcast, Lionsgate Post Solid Quarterly Results

Two media companies recently delivered stellar quarterly results as many stocks in that sector continue to be among stock market leaders.

Sinclair Broadcast Group (SBGI) on Feb. 6 reported a fourth-quarter profit of 72 cents a share, up 157% from a year ago. That marked its best performance in 10 quarters and smashed views by 13 cents. Sales jumped 55%, the third straight period of accelerating growth, to $329.5 million. Analysts had expected $311.7 million.

Record political ad sales and a rebound in automotive advertising boosted its results. For all of 2012, Sinclair's earnings jumped 91% while sales grew 39%. Both gains were the best in years.

Last year, Sinclair bought 30 TV stations and suggested more on the way.

"We believe there are still many opportunities for us to continue to acquire quality television assets, unlock hidden value and strengthen our competitive position," Chief Executive David Smith said in a press release.

Earlier this week, movie and TV programming company Lionsgate Entertainment (LGF) delivered fiscal Q3 earnings of 37 cents a share, more than double expectations. The company lost a penny a share in the year-ago period.

Boosted by its blockbuster "The Twilight Saga: Breaking Dawn Part 2," sales surged 130% to $743.6 million and easily beat views. Top-line growth has accelerated for three straight quarters.

Lionsgate is a turnaround play. The company lost money in the past five fiscal years, but is slated to turn a profit of 77 cents a share in its fiscal 2013 ending in March. It lost 30 cents a share last year.

Earnings for fiscal 2014 are seen jumping 84% to $1.42 a share.

The movie industry group and the radio-TV group ranked second and third, respectively, out of 197 groups in Thursday's IBD.

Two media companies recently delivered stellar quarterly results as many stocks in that sector continue to be among stock market leaders.

Sinclair Broadcast Group (SBGI) on Feb. 6 reported a fourth-quarter profit of 72 cents a share, up 157% from a year ago. That marked its best performance in 10 quarters and smashed views by 13 cents. Sales jumped 55%, the third straight period of accelerating growth, to $329.5 million. Analysts had expected $311.7 million.

Record political ad sales and a rebound in automotive advertising boosted its results. For all of 2012, Sinclair's earnings jumped 91% while sales grew 39%. Both gains were the best in years.

Last year, Sinclair bought 30 TV stations and suggested more on the way.

"We believe there are still many opportunities for us to continue to acquire quality television assets, unlock hidden value and strengthen our competitive position," Chief Executive David Smith said in a press release.

Earlier this week, movie and TV programming company Lionsgate Entertainment (LGF) delivered fiscal Q3 earnings of 37 cents a share, more than double expectations. The company lost a penny a share in the year-ago period.

Boosted by its blockbuster "The Twilight Saga: Breaking Dawn Part 2," sales surged 130% to $743.6 million and easily beat views. Top-line growth has accelerated for three straight quarters.

Lionsgate is a turnaround play. The company lost money in the past five fiscal years, but is slated to turn a profit of 77 cents a share in its fiscal 2013 ending in March. It lost 30 cents a share last year.

Earnings for fiscal 2014 are seen jumping 84% to $1.42 a share.

The movie industry group and the radio-TV group ranked second and third, respectively, out of 197 groups in Thursday's IBD.

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